Japan's Government Panel Urges Central Bank to Proceed Cautiously with Rate Hikes on May 11

According to Japan's government advisory panel, on May 11, the panel urged the Bank of Japan to proceed cautiously with rate hikes, citing risks of deteriorating corporate financing conditions. In materials submitted to a Monday meeting of the Policy Board for Economic and Fiscal Management, the private-sector members stated the central bank should comprehensively consider financial market financing conditions and remain vigilant about price trends. The group also noted that commodity shortages and rising prices may increase corporate financing demand.
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